Friedrich Hayek’s Contribution to Antitrust Law and Its Modern Application

Posted by Social Science Research Network

Friedrich Hayek’s Contribution to Antitrust Law and Its Modern Application–  Thibault Schrepel (University of Versailles)

Abstract: Friedrich Hayek is one the most influential economists of his time. Yet, Hayek’s influence on antitrust judges and antitrust agencies is quite low compared to the one other economists have. This should change. The very rapid growth of high-technology markets tends to confirm Hayek’s views on competition, the reason why it is time to (re)consider his work. As of today, dynamic efficiencies are not fully considered in most antitrust analyses. Based on Hayek’s work, the essay proposes some concrete changes in our modern laws. They imply to consider every aspect of the concept of ‘innovation’ in all antitrust analyses, by taking position on standardization, predatory innovation, disruptive innovation and other major themes for our economies. Also, analysing Hayek’s thinking show us why antitrust laws should only apply with certitude and agencies should consider false positives with more consistency.